(GENM MK/SELL/RM6.11/Target: RM5.15)

1Q17 results were largely in line. Operations in Malaysia recorded a decline in luck adjusted revenue amid lower visitor arrivals despite the phased opening of Sky Avenue (from Dec 16), while the theme park opening is now targeted for 2Q18. In the US, Bimini continued to chalk up losses (turnaround is expected only in 2019) while the impairment risk on GENM’s investment in tribal casino project remains. Maintain SELL. Target price: RM5.15.

Source: UOB Kay Hian Research - 30 May 2017